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DRIVING THE DAY— Paul Ryan tries again to sell his "Path to Prosperity" in a lunchtime speech at the Economic Club of Chicago. The focus, from POLITICO's Mike Allen: contrasting "shared scarcity vs. renewed prosperity, confronting Dems' attacks on Medicare and aiming to move the debate toward growth/prosperity."

-- Ryan told CNN's Candy Crowley that this is "anything but" a do-over and pushed back against her claim that Republicans took a "beating" over the Medicare plan during the last recess. "OK. So first, I would say our town hall meetings went phenomenally well. Mine in particular. Second of all, Medicare is going broke. The trustees just reminded us of this last week. "

FROM THE LEFT— MoveOn.org is encouraging Chicago-area members to greet Ryan "with a chorus of angry opposition to his Medicare-destroying plan."

FROM THE RIGHT— Newt Gingrich has already weighed in on the Ryan plan (spoiler alert: he doesn't like it); will any other Republican Presidential contenders take it on?

Good Monday Morning. PULSE would like to welcome the newest member of the Pro health team: Jason Millman. Send Jason a “hello” at jmillman@politico.com

“Workin' on our Pulse moves. Trying' to make some front-page drive-in news”

TODAY IN POLITICO PRO:

The health policy wonks who set up the Massachusetts law have hit the road and are winning big as consultants on federal reform. http://politico.pro/jWXPeS

NEWT’S TAKE ON RYAN, INDIVIDUAL MANDATE— Newt Gingrich called the Ryan plan “too big a jump” on “Meet the Press” yesterday. While he said that “we need a national conversation to get to a better Medicare solution for seniors” he took issue with any plan that imposed a “radical change.” The former speaker of the House also defended the Affordable Care Act’s central tenant: “I agree that all of us have a responsibility to pay – help pay for health care. … I've said consistently we ought to have some requirement that you either have health insurance or you post a bond.”

--PROTECT YOUR CARE HAS NEWT’S BACK— The pro-reform group emails to say they’ll “be expanding our health care work beyond Romney and also defending Newt on his support of Romneycare and particularly the individual responsibility provision.” Also watch for them to “rebut” any and all pieces of Ryan’s speech today.

--HIS FAVORITE TOPIC— Gingrich is speaking this morning at the Annual Alzheimer's Association Annual Advocacy Forum where he’ll talk about his plans for expanding research and treatment for the disease. The talk happens at 8 a.m. at the Omni Shoreham Hotel.
PULSE FIRST LOOK: CAP LOOKS AT FIXING BAD PAYMENTS— The Center for American Progress has a new paper out this morning examining ways the government could reduce errors and the way improper payments are investigated. The paper: http://politico.pro/iIoZXs

SMALL BIZ GEARS UP ON MAINE INSURANCE DEBATE— Keep an eye on Main Street Alliance, which will use National Small Business Week to highlight how the health insurance industry is shaping implementation of the reform law. Expect them to talk a whole lot about the Maine legislation that would allow for more extensive underwriting currently outlawed in the market.

** A message from The American Hospital Association: At America’s hospitals, caring for our patients is just the beginning. We’re open day and night, 365 days a year, to care for everyone who walks through our doors. But we're not here just when you need us. The people of America's hospitals are always working, caring and innovating—strengthening our communities. America’s Hospitals: Caring for Patients, Strengthening Communities www.AHA.org/hospitalstory **

RECORD PROFITS— The New York Times reported over the weekend that insurance companies were entering their third year of record profits even as many people become more cautious about how they spend their health care dollars. The Times writes: “The insurers, which base what they charge in premiums largely on what they expect to pay out in future claims, say they still expect higher demand for care later this year.” The article: http://nyti.ms/jUS4iX

--AHIP RESPONDS— The article garnered an immediate reaction from America’s Health Insurance Plans, writing that the article “failed to mention” a number of facts namely that “in the first quarter of 2011, the health plan industry’s average net profit margin is within the industry’s historic range of 3-5 percent at 3.15 percent,” and “Health plans’ total profits as a percentage of total national health expenditures was less than 1/2 of 1 percent in 2010, and over the past decade has averaged fourth-tenths of one percent.” A “fact check” looking at health care cost drivers was posted Saturday on the lobby’s blog. http://bit.ly/iATwRb

PULSE WAIVER WATCH: NEW HAMPSHIRE, NEVADA APPLICATIONS APPROVED: A very busy Friday afternoon in the MLR world as CCIIO signed off on the two complete and pending applications. Nevada got the all-clear on its request to drop down the MLR to 75 percent in 2011. New Hampshire wasn’t as lucky: Rather than granting the state’s request for a 70 percent MLR over the next three years, CCIIO will have the MLR phase in, starting at 72 percent this year, 75 percent in 2012 and 80 percent in 2013. Nev. Letter http://politico.pro/keIyfA, N.H. Letter http://politico.pro/mg1zPi

WHERE IN THE WORLD— CMS Administrator Don Berwick missed the bad news on Friday (the Part A Medicare Trust Fund is going broke five years early) because he is on vacation in Turkey. Berwick tells PULSE that his daughter was traveling around Europe and asked him to meet up in Istanbul (not Constantinople). If PULSE readers spot the good doctor cruising the Bosphorus, send pictures.

Florida could be the first state in the country to charge monthly premiums for Medicaid, Kaiser Health News reports. http://bit.ly/lYaNbF

Michael Millenson writes about the romance between Newt Gingrich and health wonks for KHN. http://bit.ly/k3vC52

Even though primary care doctors are harder to find in Massachusetts, community health centers have been able to pick up some of the slack. From The Boston Globe: http://bo.st/mNa6iI

A New York State special election could gauge the public opinion on the Medicare fight, The Washington Post reports. http://wapo.st/iIqhmd

The New York Times reports that conservatives who want to change Medicaid are looking closely at Rhode Island’s experiments with the program. http://nyti.ms/ijL0I2

** A message from The American Hospital Association: At America’s hospitals, caring for our patients is just the beginning. We’re open day and night, 365 days a year, to care for everyone who walks through our doors. But we're not here just when you need us. The people of America's hospitals are always working, caring and innovating—strengthening our communities. America’s Hospitals: Caring for Patients, Strengthening Communities www.AHA.org/hospitalstory **

Correction: A previous version of PULSE incorrectly stated that Nevada had received a one-year MLR waiver to drop the spending requirement down to 72 percent. While Nevada requested a 72 percent MLR, it was granted one at 75 percent.